Connect with us








News

Housing Sales Drop 81% y-o-y in Q2 2020, New Launches by 98% – ANAROCK

anarock

  • Just ~12,740 units sold in Q2 2020 against 68,600 units in Q2 2019; on q-o-q basis, sales drop 72% from 45,200 units in Q1 2020
  • MMR & Bengaluru account for 52% of the total sales in this quarter 
  • COVID-19 dents new supply; only 4 projects (approx. 1,390 units) launched in Q2 2020 – two in Bengaluru & one each in Pune & Kolkata
  • In a first, the gap between new launches & sales significantly high
  • Amidst limited new launches, unsold inventory in top 6 cities shrinks 5% on y-o-y basis – from more than 6.34 lakh units in Q2 2019 to over 6 lakh units in Q2 2020
  • Bengaluru sees maximum yearly decline of 7% in unsold stock, followed by MMR, NCR & Kolkata with 6% each

Housing sales and new launches have plunged to a new low across India’s top 7 cities in Q2 2020. Latest ANAROCK research reveals that residential sales in the quarter plummeted by 81% on yearly basis in these cities – from 68,600 units in Q2 2019 to just 12,720 units in Q2 2020. 

Concurrently, new launches fell by 98% in the period with merely 1,390 units getting launched this quarter. New launches account for just four projects – two in Bengaluru and one each in Pune and Kolkata.

If we consider q-o-q data trends, housing sales dropped by 72% in Q2 2020 against Q1 2020 while new launches fell by 97%.

Interestingly, limited new launches helped unsold inventory in the top 6 cities to shrink by 5% on a y-o-y basis – from more than 6.34 lakh units in Q2 2019, it dropped to just over 6 lakh units in Q2 2020.

Anuj Puri, Chairman – ANAROCK Property Consultants says, “A massive drop in both new launches and housing sales were, of course, expected on the back of a complete lockdown for most of this quarter. Interestingly, MMR – one of the most COVID-19-affected cities – witnessed

maximum housing sales of nearly 3,620 units among all cities, followed by Bengaluru with approx. 2,990 units. Technology adoption has played a big role in housing sales of late, with many developers now strengthening their digital sales capabilities.”

Advertisement








 Q2 2020 New Launch Overview:

Amidst the global pandemic, the top 7 cities saw only 1,390 units launched in Q2 2020, against nearly 69,000 units in the corresponding period of 2019 – a decline of 98%. On a quarterly basis, new launches fell by nearly 97%. Nearly 41,220 units were launched in Q1 2020.

In Q2 2020, only four projects were launched – two in Bengaluru and one each in Pune and Kolkata.

  • No new launches in MMR, NCR, Hyderabad & Chennai in Q2 2020
  • Bengaluru added approx. 590 units (in 2 projects) in Q2 2020, witnessing a yearly decline of 95% and quarterly by 93%. 
  • Pune added approx. 750 units (in only one project) in Q2 2020 compared to 10,700 units in Q2 2019 and 7,800 units in Q1 2020 – a drop of 93% and 90% respectively. 
  • Kolkata added only one project consisting of approx. 50 units in Q2 2020, declining by 98% on y-o-y basis and 95% over Q1 2020. 
City wise New Launches (In Units) & Q-o-Q & Y-o-Y Percentage Change 
 Cities Name   Q2-2020   Q1-2020   %Change (Q1 2020 Vs Q2 2020)   Q2-2019   %Change (Q2 2019 Vs Q2 2020) 
NCR 0 6,190 -100% 13,570 -100%
MMR 0 10,490 -100% 23,040 -100%
Bangalore 590 8,600 -93% 11,010 -95%
Pune 750 7,790 -90% 10,700 -93%
Hyderabad 0 3,380 -100% 4,160 -100%
Chennai 0 3,680 -100% 3,880 -100%
Kolkata 50 1,090 -95% 2,640 -98%
Total  1,390 41,220 -97% 69,000 -98%

 

Q2 2020 Overall Sales Overview:

Approx. 12,740 units were sold in Q2 2020 as against 68,600 units in Q2 2019 – a decline of 81%. In the quarter of Q1 2020, housing sales stood at 45,200 units, thus falling by 72% q-o-q. NCR, MMR, Bengaluru, and Pune together accounted for 85% of total sales in Q2 2020.

Advertisement








  • MMR and NCR witnessed significantly lower sales as compared to previous year and the preceding quarter. Sales in NCR and MMR decreased by 83% each in Q2 2020 against Q2 2019 and 74% each over the previous quarter. Current quarter sales were recorded at approx. 2,100 and 3,620 units, respectively.
  • Sales in Hyderabad decreased by 85% in a year – from 4,430 units in Q2 2019 to 660 units in Q2 2020. On a quarterly basis, sales declined by 75%. The city saw sales of approx. 2,680 in Q1 2020.
  • Pune and Kolkata witnessed a 79% yearly decline each, and a almost 70% quarterly decrease each in Q2 2020.
  • Approx. 2,990 units were sold in Bengaluru in Q2 2020, against 13,150 units a year ago and 8,630 units in the preceding quarter of Q1 2020. The y-o-y decline was 77% and Q-o-Q was 65%.
City wise Absorption (In Units) & Q-o-Q & Y-o-Y Percentage Change 
 Cities Name   Q2 2020   Q1 2020   %Change (Q1 2020 Vs Q2 2020)   Q2 2019   %Change (Q2 2019 Vs Q2 2020) 
NCR 2,100 8,150 -74% 12,640 -83%
MMR 3,620 13,910 -74% 21,360 -83%
Bengaluru 2,990 8,630 -65% 13,150 -77%
Pune 2,160 7,200 -70% 10,490 -79%
Hyderabad 660 2,680 -75% 4,430 -85%
Chennai 480 2,190 -78% 2,990 -84%
Kolkata 730 2,440 -70% 3,540 -79%
Total  12,740 45,200 -72% 68,600 -81%

 

Overall Unsold Inventory till Q2 2020 – Negligible new supply in Q2 2020 in the top 6 cities led to a reasonable decline of nearly 5% in the unsold stock on a yearly basis. The unsold stock in Q2 2019 was more than 6.34 lakh units, which has now reduced to approx. 6 lakh units as on Q2 2020. As against the previous quarter, the unsold stock decline stood at 2%.

Trending